Yewbelle Ltd V London Green Developments Limited and Knightsbridge Green Limited [electronic resource]
Yewbelle Ltd V London Green Developments Limited and Knightsbridge Green Limited [electronic resource]
- 2007
[2007] EWCA Civ 475, Considers the extent to which "reasonable endeavours" are required in order to satisfy a contract. Y was under contract to sell land including a tower block to L. A clause within the contract provided that they should make "reasonable endeavours" to obtain planning permission for part of the intended development. Y appealed against a judgment (L138455) that these endeavours were unsatisfactory and that the contract could not be said to have an implied time limit outside of which further endeavours were not required. "Held": There was an implied term within which Y had to inform L that planning permission could not be obtained. Y should have given L the opportunity to waive the clause requiring the permission. The tests upon which it was decided whether Y had made sufficient efforts to obtain permission were correct. Y was correct in informing L's solicitors of the problems with this. L was to choose whether to waive the condition or end the contract, but instead began considering the purchase of local authority land to rectify the problem. L was not entitled to this position within the contract. Accordingly the contract was already ended when L did choose to complete. Appeal allowed.
YEWBELLE LTD V LONDON GREEN DEVELOPMENTS LTD AND ANOTHER
TOWN AND COUNTRY PLANNING ACT 1990 S106
England and Wales--1543-
[2007] EWCA Civ 475, Considers the extent to which "reasonable endeavours" are required in order to satisfy a contract. Y was under contract to sell land including a tower block to L. A clause within the contract provided that they should make "reasonable endeavours" to obtain planning permission for part of the intended development. Y appealed against a judgment (L138455) that these endeavours were unsatisfactory and that the contract could not be said to have an implied time limit outside of which further endeavours were not required. "Held": There was an implied term within which Y had to inform L that planning permission could not be obtained. Y should have given L the opportunity to waive the clause requiring the permission. The tests upon which it was decided whether Y had made sufficient efforts to obtain permission were correct. Y was correct in informing L's solicitors of the problems with this. L was to choose whether to waive the condition or end the contract, but instead began considering the purchase of local authority land to rectify the problem. L was not entitled to this position within the contract. Accordingly the contract was already ended when L did choose to complete. Appeal allowed.
YEWBELLE LTD V LONDON GREEN DEVELOPMENTS LTD AND ANOTHER
TOWN AND COUNTRY PLANNING ACT 1990 S106
England and Wales--1543-